Funding Tribunal Claims
In the event you wished to instruct us to act for you in the future, our costs may be covered by a valid Legal Expenses Insurance policy.
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In the event you wished to instruct us to act for you in the future, our costs may be covered by a valid Legal Expenses Insurance policy.
Many companies have insurance policies in place which will cover any fees incurred in relation to the defence of an employment tribunal claim.
We are routinely instructed under such policies and if you have this insurance benefit, you may wish to contact your insurance company to enquire as to whether our costs may be covered by this policy. If this is the case, please contact us for further assistance.
An employment tribunal claim is a legal case brought against an employer, usually by an employee, for issues such as unfair dismissal, discrimination or redundancy pay disputes. The process involves submitting a claim, awaiting the employer’s response, going through a preliminary hearing if necessary, and then proceeding to a final hearing.
There are currently no fees for making a claim to the Employment Tribunal, following a Supreme Court ruling in 2017. However, there may be other costs involved such as legal fees and barrister fees.
The general rule is that each party is responsible for its own legal costs however costs orders can be made by the tribunal during the proceedings. The tribunal usually has a wide discretion in exercising this, including where a party has acted ‘vexatiously, abusively, disruptively or otherwise unreasonably’ during the proceedings or if any claim or response had no reasonable prospect of success.
Funding options can include legal expense insurance, third-party funding, or funding the case yourself. Some law firms may offer a conditional fee agreement (“no win, no fee”).
Eligibility will depend on the specific criteria of each funding option. For example, legal expense insurance often requires that the claim has a reasonable chance of success.
Each option has its own benefits and drawbacks. For example, insurance provides financial security but may limit your choice of lawyer. Self-funding gives you control but carries financial risk. A conditional fee agreement reduces risk but could result in a large fee if you win.
If you have any questions about employment law, please don’t hesitate to contact our team of experts who are on hand and ready to help you.